[Federal Register Volume 72, Number 73 (Tuesday, April 17, 2007)]
[Notices]
[Pages 19211-19212]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E7-7218]


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DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

[Docket Number FR-5099-N-02]


Public Housing Operating Fund Program; Guidance on Implementation 
of Asset Management

AGENCY: Office of the Assistant Secretary for Public and Indian 
Housing; HUD.

ACTION: Notice.

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[[Page 19212]]

SUMMARY: Under HUD's regulations for the Public Housing Operating Fund 
Program, public housing agencies (PHAs) with 250 or more units are 
required to convert to asset management. PHAs with less than 250 units 
may elect to convert but are not required to do so. On September 6, 
2006, HUD published a Federal Register notice providing interim 
guidance to assist PHAs in the conversion to asset management. On that 
same date, HUD posted on its Web site Public and Indian Housing (PIH) 
Notice 2006-33, Changes in Financial Management and Reporting 
Requirements for Public Housing Agencies Under the New Operating Fund 
Rule (24 CFR part 990), that provided interim guidance on changes in 
PHA financial management and reporting necessitated by the conversion 
to asset management. Both the September 6, 2006, Federal Register 
notice and PIH Notice 2006-33 were issued for public comment. This 
notice advises the public that HUD has posted its final guidance for 
both subject areas on the HUD Web site. The final guidance takes into 
consideration the public comments received on both sets of interim 
guidance, and responds to the significant issues raised by the public 
commenters.

FOR FURTHER INFORMATION CONTACT: Elizabeth Hanson, Deputy Assistant 
Secretary, Departmental Real Estate Assessment Center, Office of Public 
and Indian Housing, Department of Housing and Urban Development, 451 
Seventh Street, SW., Washington, DC 20410; telephone 202-475-7949 (this 
is not a toll-free number). Individuals with speech or hearing 
impairments may access this number through TTY by calling the toll-free 
Federal Information Relay Service at 800-877-8339.

SUPPLEMENTARY INFORMATION:

I. Background

    HUD's regulations for the Public Housing Operating Fund Program at 
24 CFR part 990 provide the formula for distributing operating subsidy 
to public housing agencies (PHAs) and establish requirements for PHAs 
to convert to asset management. Subpart H of the part 990 regulations 
(Sec. Sec.  990.255 to 990.290) establishes the requirements regarding 
asset management. Under Sec.  990.260(a), PHAs that own and operate 250 
or more dwelling rental units must operate using an asset management 
model consistent with the subpart H regulations. PHAs with fewer than 
250 dwelling rental units may elect to transition to asset management, 
but are not required to do so. PHAs are required to implement property-
based management, property-based budgeting, and property-based 
accounting, which are all defined in the subpart H regulations and are 
essential components of asset management.
    On September 6, 2006 (71 FR 52710), HUD published a notice in the 
Federal Register providing interim guidance pertaining to various 
aspects of a PHA's conversion to asset management. Also on September 6, 
2006, HUD posted on its Web site Public and Indian Housing (PIH) Notice 
2006-33, providing interim guidance on changes in PHA financial 
management and reporting that result from the conversion to asset 
management. Both the September 6, 2006, Federal Register notice and PIH 
Notice 2006-33 were issued for public comment.

II. This Notice

    This notice advises the public that HUD has posted its final 
guidance on the HUD Web site. The final guidance takes into 
consideration the public comments received on the interim guidance. 
Given the similarity in subject matter, the posted guidance 
incorporates the subject matter of the September 6, 2006, Federal 
Register notice and PIH Notice 2006-33. HUD has also posted a summary 
of the comments received on the two interim guidance documents, and 
HUD's responses to the comments.
    The final guidance and public comment summary may be downloaded at 
HUD's asset management Web page: www.hud.gov/offices/pih/programs/ph/am/.

    Dated: March 29, 2007.
Paula O. Blunt,
General Deputy Assistant Secretary for Public and Indian Housing.
 [FR Doc. E7-7218 Filed 4-16-07; 8:45 am]
BILLING CODE 4210-67-P